Amazon is Ready to Fight the FTC Over In-App Purchases

Amazon The Federal Trade Commission (FTC) wants Amazon to update some of its policies regarding in-app purchases, but the retail giant is having none of it. According to documents obtained by the Wall Street Journal the company is facing a lawsuit that would require it to pay hefty fines and dramatically alter its record keeping and disclosure practices. In particular the government is concerned about purchases being made by children, but Amazon thinks its approach is sound. In fact, not only is the company refusing to change its rules, it said in a letter (PDF) that it's prepared to go to court. The FTC wants Amazon to require passwords for all in-app purchases, make notices of additional charges more obvious and simplify the refund process. Those are rules similar to what Apple was forced to agree to last year.

Read the full story at Engadget, and the original report at the Wall Street Journal (paywall).